Mercedes-Benz Secures Short-Term Supply of Chips Amid Nexperia Disruption — 2nd Update
By Dominic Chopping
Mercedes-Benz secured a short-term supply of chips but warned that the entire automotive industry is affected by events surrounding Dutch semiconductor manufacturer Nexperia.
The Dutch government last month wrested control of Nexperia from its Chinese owner Wingtech Technology, citing the need to preserve "technological knowledge and capabilities" necessary for Europe's economic security.
China fired back by prohibiting the export of certain Nexperia products manufactured in China.
Nexperia's chips are used in everything from lights to vehicle electronic control units.
"The entire industry is affected," Mercedes said. "Thanks to good partnerships with our suppliers, the digitalization of many of our processes, and the implementation of lessons learned from the chip crisis, we have secured supplies for the short term."
The German luxury automaker said it is closely monitoring developments and is in contact with relevant stakeholders, but due to the high degree of complexity and volatility, it is difficult to make reliable forecasts.
"We are working intensively with our partners to avoid potential supply gaps," it said.
German peer BMW said it is in close contact with its suppliers and is assessing the situation to identify potential supply risks early and take appropriate measures if necessary.
"Production at our plants continues as scheduled," it said.
Elsewhere, French automaker Renault said it has set up a monitoring unit and is in daily contact with suppliers as they seek alternative solutions to ensure production continuity.
"At this stage, the potential impact remains limited and current launches will not be affected, but the entire sector remains vigilant," a spokesperson said.
Renault noted that the issue is also being addressed at the European Automobile Manufacturers' Association level, which has intervened with the Chinese Ministry of Commerce to emphasize its critical importance for the automotive industry.
Write to Dominic Chopping at dominic.chopping@wsj.com
(END) Dow Jones Newswires
October 22, 2025 05:46 ET (09:46 GMT)
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